Home sales are showing signs of improvement in the Toronto real estate market, but economists say it's far too early to feel optimistic about the trajectory of a recovery from the devastating effects of the COVID-19 pandemic.

An Ontario real estate agent who lost her income and was forced to sell her home when the COVID-19 pandemic hit says she feels like her bank took the last stab at her when they charged a $30,000 mortgage penalty.

Canada's housing sector will see a retreat in prices, sales and building in the months ahead and likely won't see a return to pre-pandemic levels until at least the end of 2022, said Canada Mortgage and Housing Corp. in an outlook released Wednesday.